Realtime Invoice Reporting – A new chapter in the battle against VAT fraud

After the shock last year, when Spain dictated a near-time invoice reporting (within 8 days, now within 4 days), all eyes are now focused on Hungary. Each domestic B2B sales invoice with a chargeable VAT of HUF 100,000 (approx. €320) or higher is eligible for real-time reporting to the Hungarian National Tax and Customs Authority (NAV). Failure to report in realtime may result in penalties up to €1700 per invoice.

Initial requirements of reporting within 24 hours and the feedback of a dedicated Tax reference number are withdrawn. The new invoice reporting obligation is designed to reduce errors and prevent VAT fraud.

Impact on ERP

These requirements need a tight integration between ERP systems (like Oracle EBS) and the NAV. Obviously, the technical part is handled by webservices. It took a while before the official technical documentation was available, but as of January 2018 they appeared (silently) on the test facilities of the NAV.

Since 4apps is determined to support all SAF-T and real-time invoice tax reporting requirements from European countries in itax4apps, we will include this functionality as part of the e-auditing framework in the next release. Of course with seamless machine-to-machine connectivity and clear (exception) reporting.